Pantego incorporated in 1952 as a village, but changed to a Type A General Law city in 1967. In 1980 the Town adopted a Council/Manager form of government. The Mayor and five Council members are elected at large. The Mayor and Council are elected for staggered two-year terms on the second Saturday in May. All members serve without compensation. The Mayor and Council appoint the City Manager and Town Secretary.

Council meetings are held on the second and fourth Monday of each month at 7:30 p.m. Special meetings are held as needed. All meetings are open to the public. The agenda for each meeting is posted on the bulletin board at city hall at least 72 hours prior to the meeting.